As a result of the reverse merger, the Company assumed $169,894 of advances payable due to Jay Rifkin, a current director who is also a former officer of the Company.  These advances bear interest at 9% per annum, have no fixed terms of repayment and are unsecured.  Accrued interest on these advances at June 30, 2012 was $15,848and interest expense for the six months ended June 30, 2012 was $7,734.  As previously disclosed, the Company and Mr. Rifkin have agreed to convert this balance to a Convertible Promissory Note Payable with the same terms and conditions of the notes discussed in Note 11.  As of the date of this report, the conversion had not been finalized.